The Testing, Inspection, and Certification (TIC) market is estimated to be valued at US$ 232.3 Bn or Mn in 2023 and is expected to exhibit a CAGR of 3.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Testing, inspection, and certification (TIC) services help ensure products, processes, systems, and services meet defined standards or other quality requirements. TIC services cover a wide range of industries including agriculture, apparel, healthcare, oil and gas, manufacturing, consumer goods, transportation, and more. They play a vital role in international trade by providing independent assurance that products and management systems meet applicable standards and other technical specifications set by regulators or required by purchasing organizations.
Market Dynamics:
Rapidly growing manufacturing sector: The rapidly rising manufacturing sector around the globe is fueling demand for TIC services to ensure manufacturing processes and output products meet quality and safety standards. Quality checks are crucial for international trade of manufactured goods. According to industry estimates, the global manufacturing sector is expected to grow at over 4% during the forecast period, thus boosting TIC market growth.
Strict regulations: Growing regulatory pressure from governments and standardization bodies worldwide to adhere to stringent quality control and safety norms across industries is a key driver of the TIC market. Regulations help foster customer trust and confidence by ensuring products are safe and fit for use.
SWOT Analysis
Strength:
- Testing, Inspection, and Certification services helps improve product quality and safety standards.
- Presence of well-established labs and capabilities benefit customers seeking certification.
- Strong technical expertise and growing compliance requirements boost demand for TIC services.
Weakness:
- Intense competition among service providers pressures margins.
- Compliance processes can increase costs and timelines for businesses.
Opportunity:
- Expanding trade and rising outsourcing of quality control functions open new growth avenues.
- Emerging technologies like IoT and blockchain can enhance efficiency of inspection processes.
Threats:
- Economic uncertainties may lead clients to defer certification related spending.
- Non-tariff barriers pose challenges to international acceptance of certificates.
Key Takeaways
The Global Testing, Inspection, And Certification (TIC) Market is expected to witness high growth, exhibiting a CAGR of 3.2% over the forecast period, due to increasing regulatory standards and complex compliance requirements across industries. The market size for TIC services is estimated to reach US$ 232.3 Bn by 2023.
Regional analysis
Europe currently dominates the TIC market, supported by stringent product regulations and extensive outsourcing of testing activities by manufacturers based in Germany, U.K, and France. However, Asia Pacific is poised to grow at the fastest pace during the forecast period, driven by the manufacturing boom in China, India, and Southeast Asian countries coupled with rising domestic consumption.
Key players
Key players operating in the Testing, Inspection, and Certification market are SGS Group, Bureau Veritas SA, TUV Rheinland Group, Intertek Group PLC, ALS Limited, DNV GL, MISTRAS, Lloyd’s Register Group Limited, Underwriters Laboratories Inc., ABS Group, and ASTM International. These firms provide a comprehensive range of TIC services and are focusing on regional expansions as well as acquisition-driven growth strategies.
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